Shenwan Hongyuan Securities·2025-06-15 09:12Investment Rating - The report maintains a positive outlook on the metals and new materials industry, indicating a favorable investment environment [4][3]. Core Insights - The report highlights a significant increase in gold prices, surpassing $3,450 per ounce, primarily due to geopolitical tensions in the Middle East and a lower-than-expected U.S. CPI [4][21]. - The report emphasizes the resilience of demand for base metals, with various metals showing positive price movements and suggesting a stable supply-demand balance [4][9]. - The report suggests that the central bank's continued gold purchases indicate a long-term trend towards increasing gold prices, with a focus on companies like Shandong Gold, Zijin Mining, and others [4][21]. Weekly Market Review - The Shanghai Composite Index fell by 0.25%, while the non-ferrous metals index rose by 3.79%, outperforming the CSI 300 by 4.05 percentage points [5][4]. - Precious metals saw a weekly increase of 6.13%, with aluminum up 2.28%, and copper rising by 4.09% [9][4]. - Year-to-date performance shows precious metals up 44.49%, with copper and aluminum also showing significant gains [9][4]. Price Changes - Industrial metals and precious metals experienced varied price changes, with copper down 0.50%, aluminum up 2.14%, and gold up 3.65% [4][15]. - The report notes that the average price of aluminum increased to 20,730 CNY/ton, reflecting a 2.5% weekly rise [46][4]. Supply and Demand Analysis - For copper, the report indicates a decrease in the operating rates of electrolytic copper rods and recycled copper rods, while the demand for wire and cable remains stable [30][4]. - The aluminum sector is facing a decline in processing enterprise operating rates, with a current operating rate of 60.40% [46][4]. - The steel sector is experiencing a decrease in production and demand, with a notable drop in rebar prices [70][4]. Key Company Valuations - The report provides valuations for key companies in the metals sector, with Zijin Mining at 19.15 CNY/share and a projected PE ratio of 24 for 2023 [18][4]. - Other notable companies include Luoyang Molybdenum at 7.91 CNY/share and a PE ratio of 21, and Huayou Cobalt at 35.22 CNY/share with a PE ratio of 18 [18][4].